Answer:
It depends. Why was the loan amount increased? If the borrower requested more money, then it qualifies. If the lender forgot fees that are being financed, then it does not qualify as a changed circumstance.
If this is a "qualified" changed circumstance, you need to provide a revised GFE and deliver it to the borrower within 3 business days of learning about the change.
Can you charge for a re-draw fee? Again, it depends. What caused the fee? If it is because the borrower requested the loan amount change, then all fees in connection with the loan amount change can be passed on to the borrower.
First published on BankersOnline.com 9/19/11
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